Lagos - August 18 - (Viewpoint Housing News) – The Chairman, Lagos state chapter of the Real Estate Developers Association of Nigeria (REDAN), Bamidele Onalaja in a press conference in the state, said rising inflation is one of the chief bane of the country’s real estate sector and is becoming a worrying trend.
Mr. Onalaja called on all government agencies responsible for regulating the economy to prioritize shelter as a basic necessity for every Nigerian.
According to the Voice of Nigeria, he said the cost of real estate development has skyrocketed, following current economic trends which include inflation, and the weak value of the Naira.
“Presently, all the factors that drive an increase in commodity prices in Nigeria, galloping inflation, volatile foreign exchange rate and cost of transporting goods from one point to another have all contributed to challenges confronting the real estate sector, Onalaja said.
“Exchange rate in the country is not left behind as it is dwindling and increasing daily. This is a huge source of worry because this is a country where over 70 per cent of building materials are imported”.
Onalaja noted that a recent survey on the prices of building materials showed how inflation has badly affected the cost of acquiring and transporting them.
“The price of granite, sharp sand, aluminum roofing sheet, tiles, iron rods, hardwood timber, among others, keeps skyrocketing, leaving us to grapple and making the cost of real estate construction skyrocket”, he added.